Prosperity Now Applauds Introduction of Bill to Give Much Needed Tax Relief to Working Families
For Immediate Release
Contact: Kristin Lawton, 202.207.0137
Today, Senators Sherrod Brown (D-OH), Michael Bennet (D-CO) Dick Durbin (D-IL) and Ron Wyden (D-OR) introduced the Working Families Tax Relief Act to expand upon what works in the tax code for low- and moderate-income households. This bill would expand key tax credits such as the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC) to better support low- and moderate-income households.
The Working Tax Relief Act improves upon already proven and effective policies such as the EITC, the CTC and paid tax preparer regulations. It expands the EITC to childless adults and families (especially families with young children), makes the CTC stronger for lower income households, increases the effectiveness of low-income tax credits in Puerto Rico and creates paid tax preparer regulations.
“As an organization that works to make it possible for millions of people—especially people of color and those of limited incomes—to achieve economic prosperity, Prosperity Now welcomes the introduction of the Working Families Tax Relief Act,” stated Andrea Levere, President of Prosperity Now. “By building and expanding on what works for working families in our tax code, such as the Earned Income Tax Credit and the Child Tax Credit, while also addressing shortcomings within these programs, the Working Families Tax Relief Act would substantially boost the economic outlook of countless families throughout the country. At the same time, the efforts by the Working Families Tax Relief Act to provide greater support to young families and families in Puerto Rico would allow more low- and moderate-income families to access and benefit from the tax code.”
Though the Tax Cuts and Jobs Act of 2017 was marketed to help working families across the nation, it fell short of its promises. Instead of primarily helping lower income Americans, the richest 20% of Americans (those earning over $110,000) are receiving 72% of the benefits that flow to individuals from the Tax Cuts and Jobs Act. The legislation has also been shown to potentially aggravate the racial wealth divide, as 80% of the cuts that will impact individuals through the Tax Cuts and Jobs Act will go to White households.
Prosperity Now believes that everyone deserves a chance to prosper. Since 1979, we have helped make it possible for millions of people, especially people of color and those of limited incomes, to achieve financial security, stability and, ultimately, prosperity. We offer a unique combination of scalable practical solutions, in-depth research and proven policy solutions, all aimed at building wealth for those who need it most.